SAQA All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Execute a strategic sourcing strategy 
SAQA US ID UNIT STANDARD TITLE
260137  Execute a strategic sourcing strategy 
ORIGINATOR
Task Team - Treasury 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Procurement 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 6  Level TBA: Pre-2009 was L6 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Reregistered  2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
This unit standard will enable learners to execute the strategic sourcing strategy. The role out of the strategy includes change management, monitoring and improvement of the performance.

A person credited with this unit standard is able to:
  • Establish supplier relationship.
  • Establish contract.
  • Communicate strategy and plan.
  • Execute plan and contracts.
  • Monitor and improve performance.

    This unit standard will contribute to the development of the learner within the context of supply chain management. Learners who have achieved this unit standard will increase their opportunities for further development and employability within the supply chain management environment. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    It is assumed that the learner has the following knowledge and skills:
  • Basics of law of contracts at NQF Level 5.
  • Conduct initial assessment for strategic sourcing at NQF Level 6.
  • Develop a sourcing strategy at NQF Level 6. 

  • UNIT STANDARD RANGE 
    Commodities includes goods, works and services. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Establish supplier relationship. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Bidding or negotiation documents are developed to encompass the identified strategy options. 
    ASSESSMENT CRITERION RANGE 
    Negotiation documents include but are not limited to templates, requirements, and supplier (pre) qualifications.
     

    ASSESSMENT CRITERION 2 
    Prospective suppliers are invited to offer proposals addressing the key performance areas and reporting processes. 

    ASSESSMENT CRITERION 3 
    Approval is obtained and responsibilities are assigned in preparation for execution of the strategy. 

    ASSESSMENT CRITERION 4 
    The sourcing process to be implemented is communicated to inform all relevant stakeholders. 
    ASSESSMENT CRITERION RANGE 
    Communicated includes but is not limited to internal, external, bidding/negotiation process, bids evaluation, supplier selection, approval, negotiations planning/conducting based on sourcing strategy, contracts development and negotiation.
     

    ASSESSMENT CRITERION 5 
    Implementation is planned in terms of transition to new contract terms and supplier operations. 

    ASSESSMENT CRITERION 6 
    The fit between the supplier and the specific commodity is determined in order to facilitate the process of establishing a supplier relationship. 

    SPECIFIC OUTCOME 2 
    Establish contract. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The contract is evaluated to check compliance with all legal requirements. 

    ASSESSMENT CRITERION 2 
    Key terms and conditions are included in the agreement to serve as a measure of performance. 
    ASSESSMENT CRITERION RANGE 
    Terms and conditions include but are not limited to general terms and conditions, special terms and conditions, service level agreements.
     

    ASSESSMENT CRITERION 3 
    A coordinated transition plan is developed with the supplier and the organization to implement the strategy. 
    ASSESSMENT CRITERION RANGE 
    Transition plan includes but is not limited to optimised demand planning, unit standardisation, network design changes, optimised inventory management, purchase process changes, and transition to new vendor arrangements, identify and manage transition issues and risks.
     

    ASSESSMENT CRITERION 4 
    Risk assessment and management plans are developed in order to support the management of the contract. 

    SPECIFIC OUTCOME 3 
    Communicate strategy and plan. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    Communication/engagement plan is developed to inform all stakeholders of strategy implementation process. 
    ASSESSMENT CRITERION RANGE 
    Plan would include but is not limited to target audience, communication method, frequency.
     

    ASSESSMENT CRITERION 2 
    Communication channels are established in accordance with stakeholder requirements and organizational procedures. 

    ASSESSMENT CRITERION 3 
    The roll-out of the strategy is communicated to relevant stakeholders in accordance with the communication plan. 

    ASSESSMENT CRITERION 4 
    The effectiveness of the communication/engagement plan is monitored and evaluated in order to determine their impact on stakeholder involvement for strategy execution. 

    SPECIFIC OUTCOME 4 
    Execute plan and contracts. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The strategy is implemented and rolled out according to plan. 
    ASSESSMENT CRITERION RANGE 
    Implementation includes but is not limited to the signing of contract, information, networks linked, communication networks, processes linked.
     

    ASSESSMENT CRITERION 2 
    The sourcing process is aligned with the organisation's procurement policies and procedures. 

    ASSESSMENT CRITERION 3 
    Strategy is aligned with available sourcing options. 
    ASSESSMENT CRITERION RANGE 
    Sourcing options include but are not limited to quotations, competitive bidding, negotiations, public/private partnerships.
     

    ASSESSMENT CRITERION 4 
    Change management is implemented as dictated by the strategy. 
    ASSESSMENT CRITERION RANGE 
    Change management includes but is not limited to organisational structure changes, technology changes, procurement process changes, people skills and attitude changes.
     

    ASSESSMENT CRITERION 5 
    Contract(s) are concluded and managed in accordance with the terms and conditions. 

    SPECIFIC OUTCOME 5 
    Monitor and improve performance. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    A plan is developed to monitor performance according to the strategy. 

    ASSESSMENT CRITERION 2 
    Cross-functional team members are identified in terms of their responsibility for monitoring performance. 

    ASSESSMENT CRITERION 3 
    A joint performance measurement process is conducted to ensure stakeholder involvement in developing performance criteria. 
    ASSESSMENT CRITERION RANGE 
    Joint performance measurement process includes but is not limited to aligning stakeholders around common measurements, measure performance against the contract conditions, identifying improvement opportunities, monitor and improve service level agreement (SLA).
     

    ASSESSMENT CRITERION 4 
    Means of measurement is formulated in order to collect performance information. 
    ASSESSMENT CRITERION RANGE 
    Means of measurement includes but is not limited to who is responsible, what process is used to measure, sampling rate, frequency.
     

    ASSESSMENT CRITERION 5 
    Improvement opportunities are identified and implemented in order to meet organizational continuous improvement goals. 
    ASSESSMENT CRITERION RANGE 
    Improvement opportunities include but are not limited to optimization of processes, organization, supply chain, commodity.
     

    ASSESSMENT CRITERION 6 
    A plan of action for improvements is formulated to make possible changes. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • The assessment will be governed by the policies and guidelines of the relevant Education and Training Quality Assuror (ETQA) that has jurisdiction over this field of learning.
  • The assessor will (at the very least) be accredited and have a relevant qualification and be a subject matter expert in this learning area and at least have 3 years experience in the skills specific area.
  • The learner can be assessed against this unit standard to obtain credits or as part of an integrated assessment for a qualification:
    > Internal moderation.
    > External moderation.
    > An assessor, accredited by the relevant ETQA, will assess the learner's competency.
    > Assessment procedures will be supplied by the ETQA in alignment with NSB requirements.
    > All assessment activities must be fair, so that all candidates have equal opportunities. Activities must be free of gender, ethnic or other bias.
    > Assessment and moderation procedures, activities and tools must be transparent, affordable and support development within the field, sub-field and NQF.
    > Questions and answers to determine theoretical knowledge are expected.
    > Assessment of a portfolio of evidence.
    > Direct observation in simulated and/or controlled work conditions. 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    Change Management Process Development:

    Devise a new strategic commodity sourcing change management process which might include:
  • Organisational structure changes.
  • Technology or procurement process changes.
  • Peoples skills and attitude changes.

    Structure Changes:
  • Define authority relationships and delegations.
  • Define coordinating and support mechanisms e.g. who will monitor performance.
  • Re-evaluate job descriptions based on outcome of strategy.
  • Establish a communication plan around any structural changes.

    Technology:
  • Based on outcome of strategy identify new processes and technologies to be utilised.
  • Define and train key operational resources affected by the changes.
  • Present benefits of new process/technology to identified users.
  • Provide opportunities for users to provide feedback on new work processes.
  • Provide support structures for new changes.

    People:
  • Changes with regards to people include changes to people's attitude, expectations, perceptions and behavior (skills).
  • Ensure participation by all relevant resources.
  • Provide facilitation and support around new processes or structures.
  • Collaboratively address the concerns and identify possible points of resolution, so as to avoid perceived manipulation.
  • Education and communication is essential in helping people accept change. 

  • UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Identifying and solving problems in which responses display that responsible decisions using critical and creative thinking have been made when:
  • Analysing data. 

  • UNIT STANDARD CCFO WORKING 
    Working effectively with others as a member of a team, group, organisation, and community during:
  • Participation in a cross-functional sourcing team.
  • Interactions with end users and suppliers at various levels. 

  • UNIT STANDARD CCFO ORGANISING 
    Organising and managing oneself and one's activities responsibly and effectively through:
  • Planning activities.
  • Gathering information and data. 

  • UNIT STANDARD CCFO COLLECTING 
    Collecting, analysing, organising and critically evaluating information during:
  • Developing strategies.
  • Collecting data.
  • Making decisions on options. 

  • UNIT STANDARD CCFO COMMUNICATING 
    Communicating effectively using visual, mathematical and/or language skills in the modes of oral and/or written persuasion when:
  • Developing plans.
  • Engaging with stakeholders.
  • Improvement of strategy. 

  • UNIT STANDARD CCFO SCIENCE 
    Using science, technology and indigenous knowledge effectively and critically, showing responsibility towards the environment and health of others through:
  • Gathering information and data.
  • Analysing information and data. 

  • UNIT STANDARD CCFO DEMONSTRATING 
    Demonstrating an understanding of the world as a set of related systems by recognising that problem-solving contexts do not exist in isolation when:
  • Determining best options for specific strategies.
  • The relationship between the sourcing strategy and the relevant policies and legislation. 

  • UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    N/A 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  50060   National Certificate: Public Administration  Level 5  Level TBA: Pre-2009 was L5  Reregistered  2023-06-30  PSETA 
    Elective  74149   National Certificate: Supply Chain Management  Level 5  NQF Level 05  Reregistered  2023-06-30  TETA 
    Elective  67460   National Diploma: Public Administration  Level 6  NQF Level 06  Reregistered  2023-06-30  As per Learning Programmes recorded against this Qual 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. Aldabri 106 Institute for Quality Pty Ltd 
    2. BPL Academy 
    3. Centre for Logistics Excellence (Pty) Ltd 
    4. College of Production Technology 
    5. COMMERCE EDGE SOUTH AFRICA PTY LTD 
    6. Global Maritime Legal Solutions Pty Ltd 
    7. KVR TRAINING AND BUSINESS SOLUTIONS PTY LTD 
    8. Makwedeng Training 
    9. Metro Minds 
    10. Phephani Learnerships cc 
    11. Pro-Active Assessment and RPL College (Pty) Ltd 
    12. School of Shipping 
    13. Skills Development Specialists 
    14. UKWAKHILE TRAINING 
    15. Y2K College 



    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.